like that, but i take your point. >> secondly, some of the steps we have taken like the aig episode of this we have heard the fed a lot of politically. we know that. i think there should be proof that we did it for the good of the country and we didn't do it ourselves because it hurts the federal reserve in the public secretary paulson. .. ..

for 100 years almost. and in that respect, and we haven't been lobbying. what we've been doing if anything is trying to provide advice in our recent views on the subject. but i might think of it as turf it, in my view is an important component of thinking about how a successful financial stability program are to be structured or at so given that it's very much in our domain, you know, i don't want to use it listless, but to the extent we have arguments and positions to take ione asked you to believe that we do it based on what our view is based on the public policy, not because of turf. and you'll notice that we have not used the same kind of energy on other aspects of this has been the thing that we view as critical. and i actually do believe that the federal reserve is completely eliminated from financial stability policy will

have very negative consequences sometimes in the future would neither you or i shearer. i have to understand that on that particular issue, we do feel we have a stake and an expertise in that we're trying to get the right policy. >> well, i appreciate that and also apologize for being given some information about a hearing that apparently was off days, and certainly i'm very glad you cleared that up. and i would just say that on ten e-echo the same thing that he said and that is that all of us here are trying to get it right. and i think it's really hard. i think the resolution piece in the two big to fail peace is the most important. if we do nothing else over the course of the next several months, but solve that, i think the most important thing in my opinion. again, if we only did that, that

would be fine. i hope that you will, you know, continue to talk with us in our offices both privately and in any other setting to help us work through this. and my comments today come again, are not in any way -- there just to say that look, my antenna right now makes me feel nervous about the hyperactivity and the unintended consequences of what could happen down the road. i mean, you responded aggressively during this last cycle. and as has been said, i mean, you know, you're been criticized for responding aggressively. and i think if we allow the feds to wallow in our financial system to become something far greater than it should eat, there's an appropriate level i understand, but far greater than

it should be required to set ourselves up to do some alternate longer-term damage to our country. anyway, thank you for letting me talk with you. i know all of us good monday morning quarterback the many zillion calls that you've had to make over the last year or so and with little information and little time. i respect you for what you're doing. i thank you for coming in being so patient with us today and i do look forward to over the next couple months with chairman dodd's staff and ranking member shelby's staff and all of us working together to try to get it right. and i thank you your >> thank you. [inaudible conversations]

[inaudible conversations] >> the senate is expected to a procedural vote tomorrow with a second term for a set chairman ben bernanke. here's an update. >> thank you for being with us. >> teen! for having me. this is the first chance that a large audience will get a new look at the governor, bob mcdonald. what should they know about him? three met mcdonnell won by a landslide in november's election against democratic opponent. he is very conservative, both as coolly and socially. many people are already leaving him a margin of victory and given his kind of made for television kind of persona and appearance are already iambic speculation that he will be a candidate for all the national stage and it sure did four years

perhaps six or eight years now. >> but is a brand-new governor. was it any surprise the republicans chosen to make it response tonight? >> i don't think it was a great surprise. as you will recall, in 2006, shortly after former virginia governor tim kane a governor with a lack did with response to president george w. bush's state of the union address that year. by mcdonnell asserts in a transcendent and arriving figure in the national gop. and so it makes a lot of sense that they would want to present him to a national audience. >> what are you hearing about things to his response tonight? what mighty talk about? >> a number of state capitol reporters spoke with him yesterday in the government indicated that his message what kind of stress the core principles of the gop, namely he said he is going to put a positive kind of happy pro-business face on the republican party. he said he would also speak to some of the excesses that he sees an federal government

spending program that will be pushed by democratic leaders at this point. >> governor mcdonald barely a month in office. what's on top of his agenda? what challenges does he face there in virginia? >> he faces the same challenges and national leaders are facing in washington, which is trying to revive the economy and precision in virginia to be a leader as the economic come down to the valley, if you will. back to his response night, where is he going to be? will he be here in washington or there in the capitol in richmond? >> you will be in the state capitol in richmond. hubel delivering his remarks sometime at the time the clock hour from the house of delegates chamber in the historic national enrichment that will before confidence of upwards of 300 people. tickets for seats are very hard to come by. both were passed and four interested observers.

his speech is expected to last about tenovers the statehouse for the virginian pilot and you can read his work on the website. >> thank you.

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[speaking in native tongue] [speaking in native tongue] >> now an event with haitian ambassador to the u.s., a long-term development of the western hemisphere's poorest nation. hosted by the american enterprise institute, this is just under 45 minutes. [applause] >> ambassador noriega, thank you for such an introduction, generous with me. you know, i have for the sake of full disclosure i have to let you know that when i came back to washington in 2004, he is the

person i was dealing with in the state department. so i feel at home again, especially since i see a few of my friends from near. thank you. guess what? ongoing to start with something that will make you think about what's happening in haiti. think of washington d.c. you wake up, it's flattened. the white house is no more, the senate, the house of representatives, that's the office buildings. the supreme court, the banks are flattened, police headquarters

no more, fbi's not they are, no restaurants. do you think that all of the sudden you will have seen president obama out on the street the next day? well, that would have banned in port-au-prince. and i'm saying this because soon after the 70 magnitude earthquake hit 80, haiti. i'm wondering how that happened in a city like washington, where you have better structure, where you have everything almost.

do you think if all of these buildings went down flattened like that, you would spring up? or perhaps he would have somebody talk about it from new york. but it would not be only washington d.c. i don't know what would happen to the cia and all these things. i'm asking you to be a little patient with haiti. but having said so, i think ambassador noriega said something in his introduction that he is stating. haitians are very resilient. and i even see a silver lining in what our fans on january 12. on april 30, 2004, i wrote a

column for the now defunct new york sub. i had one freeze they are, eighth and port-au-prince is a man-made catastrophe waiting to happen. i made that comment because coming from the air, in the american airlines, i was looking at the city that i had left 13 years earlier, and i saw all these matchboxes all over the hills and the mountain that is backed drops to port-au-prince mount hospital was disfigured. and i wrote, unless something is done immediately, big chunks of

this city will be gone into the caribbean sea. other times, i did not see an earthquake. haiti being in the kirkham alley, i saw a major hurricane that would have wiped all of these flimsy votes damascene caused a major catastrophe. it didn't happen that way. no, we know what happened. other times i said and i wrote, we should decentralize port-au-prince. this republic of port-au-prince should be no more. but you know, politicians couldn't do it.

one politician tried to demolish some of these shanties and he felt that he was last that he was there for a few months. i said i see a silver lining. the silver lining is that what this city planners, what the politicians could not do, nature if you will, god as somebody has said, did it in less than a minute. port-au-prince shook and the whole structure came down like a house of cards. and you know what the people are doing? they are moving out of port-au-prince into the hinterland. they're going all the way north.

now that's the map of haiti like this. that's port-au-prince right here. they're going all the way up here across from cuba, moving as far away from port-au-prince. i am warning them, don't take the boats. because that's what happened in the past. however, now with what nature has done in haiti, i say we should learn and we should start keeping the population out in the countryside where they belong and streamline port-au-prince if they start to build again and build according to cause. because this earthquake is the second in a hundred years. the third major earthquake in haiti and over 250 years because

there was one in the 1800's, 1848, that wiped out the northern part of haiti. so we are in default line. and we have to build differently from the way we've been building in the past. so much for what happened that you want to know what's happening now. since the earthquake hit, and there were no officials around, i quickly went to my friends and steady partners, something he would've done if you were there the next day. i have some responsibility for my people. and asked american officials for certain things. the first, i asked for control of our airport.

there was really chaos and port-au-prince airport and right away the u.s. responded. with the southern command that took over and put some order. we asked for help in communication because we could not communicate with anybody. again, the u.s. military came along and helped. we asked for first responders and for the u.s. comfort. the u.s. comfort was not close to haiti. it was sent to take its place and would arrive by the 22nd of january. it arrived by the 25th and today the u.s. comfort is doing a great job as a floating hospital. the french also have sent a hospital. we have received support from

all over, crossing lines of ideology, like venezuela, with whom some of us have some difficulty. they sent him 225,000 barrels of fuel of all kinds right away. and cuba, that has doctors, reinforced the doctor unit in haiti. israel, all the way from israel sent the first responders. as planned, argentina and hospitals, field hospitals. i better not continue because i could not name them all. i think that's part of the silver lining i am talking

about. people haven't been talking about haiti. and when they talk about haiti, it's only in negative terms. the poorest country in the western hemisphere when it was violent after they read the first aircraft about the destiny. well, the past four years we've dealt with the violence was off the front pages with the violins. so there's no violent to report about in haiti. we don't talk about the good things hardly. and now, the worst top end and everybody speaking about haiti. everybody's focused on haiti. everybody should have been focused on haiti a long time ago. because haiti is the second independent country in the western hemisphere, second to

the united states. in 1804 there were two independent countries, haiti, the united states first, and haiti. and i., you know, i venture to say that haiti helped the united states to be what it is. you can ask your questions later on. but if not for haiti, you probably would be speaking french on the west side of the mississippi now. the 13 states that formed it, we in haiti health that happened by defeating napoleon troops in haiti and continued onto the northern territories. but not only the united states gained from us. venezuela, gran colombia, including colombia, venezuela, and ecuador.

left for an haiti with men, weapons, both to go liberate those places. and to show his gratitude towards haiti, the venezuelan flag is the haitian flag with the yellow band on top. but you know, that was a bad example. black slaves rising up against the white masters and beating them, even though we benefit in the united states primates and even though we benefit in all of south america. no, you shouldn't do that. for 16 years, haiti was under embargo and i say if you want to know how haiti got so poor, go look at what is beginning. i'm not going to absolve the leadership of haiti also. that has been predatory. i have been fighting against them since i can remember.

but, a new day is coming to haiti and it began back in 2006, with the election of a president who won with about 51% of the vote and he turned around to the 49% that were not with him, the way his opponents and from the 49% he got some good ministers for his cabinet and formed a unity government. if not for that, the food riots of 2008 would've seen the government toppled. were it not for that, the problems with the four hurricanes in three months would've also toppled the government. haiti has reached political stability. i was not part of president

preval leiby work. and i saw this spirit of unity that gave us independents because that's how we want independence when the bans were fighting french right and left and finally got together in 1803. six months later, the french. today with this. if unity coming back in our time of distress, with the support of the international community, i have no doubt that haiti will make it. google make it in the right way. they haiti that is going to be rebuilt will be according to

codes. no longer can we afford this disorder of anybody taking two pieces of bricks here and a piece of wood there in setting up a shack and saying it's a city in forming its own streets. no more. so, i'm asking you, our friends, all of you who i've come to our support now to please stay with us because we are going to be off the front pages very soon. however, haiti's rebirth will take some time and i'm counting on you and you to keep us going. we'll do our part. thank you. hot [applause] >> thank you, ambassador. the ambassador has agreed to

take some questions. i ask that you wait for the microphone when he posed your question and identify yourself and your organization. i'll start while you get your first question. ambassador, what's your advice for including the political building pay up in terms of political institutions and democracy? is a transition that they expect it with the presidential election that are supposed to be held very soon. what is your advice, specifically about the reelection of a national assembly and a president and broader about political renewal? >> you know, we should've had elections for the house of deputies. that's the equivalent of your congress, congressman, and congresswomen in february. i don't know what decision has been made yet, whether the elections would be going on for

all the congress and also for about two thirds of the senate. i think that there is a new spirit in haiti of inclusion and we have heard a lot of things that some parties were excluded, but really no party was excluded. and i wish and i think that's going to happen, that this election coming up will start building on what we had before, so we can strengthen our institutions. one institution that has been strengthened and people don't pay any attention to it, and we did it consciously, is the security. when i came to washington in

2004, there were only 2500 elyse men and policewomen for a whole country of 8.5 million people. you must admit that haitians are the most hostile people in the world because new york city has the same population. 8.5 million. and you know how many policemen and women they have their? 45,000. plus the state police that they can call on, the fbi. katie had 2500 police. it used to be 7000 that was broken down. since then, the army -- i mean, the police is at 10,000. we lost 300 during the earthquake. but we have done a pretty good job in creating a secure environment.

the other part that needs work and we have to work on it to create that institution is justice. the justice system in haiti is too slow and is not impartial enough. that we have to work on. financial institutions, you know, they talk about corruption in haiti and i won't go on. you've got the list on where we are in the most corrupt country. but nobody has said anything about the work being done in wielding out the corrupt, having a unit out of the commerce department, doing just that. nobody talks too much about what we've done in the past four years in streamlining the process of establishing business

in haiti. it used to be over 280 days to establish a business. now we've got it down to two months. because we have a one-stop shop. and that makes for less corruption. little by little, i think, will pull it together. what gives me a lot of confidence is that you have a leadership that is listening. >> thank you very much, ambassador. we have a question. please identify yourself and your organization. >> thank you, mr. ambassador. many was lisa and i work at the swedish embassy here in washington. i was going to ask you about the time frame. i heard today the state secretary clinton saying something about ten years we are in there for a long time and you talked about yourself or lining. so what would you say about the timeframe for the international

community to stick with haiti? >> i could not give you a specific timeframe. you know, in the past, the united nations had 13 missions in haiti since 1991. this time, they came in 2004 and the united nations said we're not going to repeat the same mistake that we did before and we're going to stay. in the first two years, we had a lot of problems with some countries but said no, we've got to leave. but this last time when the renewal of the mandate of the u.n. came back, there was no dissent. and i think people in the international community have come to realize that putting a time frame of five, ten years is

wrong. it's almost like the people who are talking about iraq and afghanistan, how many months before we leave. it didn't take five or ten years to put haiti where it is. it began with mr. duvalier who was elected in 57 and turned in and did it three years later and the country started to go down and continued down. so, if it took all these years to put it where it is today, i think it's going to take a little time for it to get to where it is. i don't mean that international media has to be there all the time, but at least to accompany us to put it together. so i cannot give you a timeline. >> thank you. over here.

>> good afternoon, ladies and gentlemen. my name is rosemary. i'm the president for hope for tomorrow. sorry mr. ambassador for all that happened in haiti. we are with you. i just wanted to put a comment on the settlement of what the haitians. we have come up with a strategy on sheltering women and children in haiti. so what we are trying to do is to see that women in haiti and the children are somewhere, not children and women gets to be taken away. what are you doing when the children are being taken away from haiti and women and they have no idea where they are coming from. we want the haiti children to remain in haiti with the haitian people and that's why we are looking at the strategy to

resettle haiti especially with women who can take care of children in haiti to plan their tradition, instead of just being taken away to yesterday. but tomorrow the children will be on the street fighting people. what will we be helping with the history of haiti? i'll be seeing you in your office this afternoon. thank you. >> thank you very much. i know i have gotten some credit some places, especially from the governor of pennsylvania that it helped to get some children out of haiti and some people think i am helping and sending all haitian kids out. nope, didn't happen like that. what i did was to find out the children that were in the process of adoption already,

newspapers have been readied, but they were waiting for a passport and visa. and they told the governor of pennsylvania, i found out in this orphanage that you're talking about, they're about 28. the orphanage had 54 kids. all 54 came to the american embassy and those who have been already approved said they were not going to leave until all of them left. well, it didn't happen like that. only those who are processed, who had been processed already left because i said haitian children are not cattle. we're not going to allow them to just leave like that. so with the myth out there that they are coming in and grabbing haitian children and leaving with them. no, we're not doing that.

and the organization that's working with children and families and women, i'm all for it. my wife has an organization that's doing exactly that. and she organized it and has chosen the city which has been flattened, too. the hospice that she had chosen as one of the few buildings left standing. and if you need to find out more about what we are doing with children and women, i ask you to see me afterwards. i'll give you a card and put you in contact with the people who are working at that. no, we don't want the children to be just going like that. >> let's see, let's take this one and then i'll go -- thies, please. my name is carl carter. i am with the universal human

rights network. one of the thing that concerns us is the pictures of mass graves and what assistance can be provided to haiti for coffins for those who died, that can maybe load on container ships or otherwise. or even see one 30's so they can start an internment process for those people who have died instead of just the pictures of the bodies themselves, but if people where they could at least have a coffin for their loved ones. thank you. >> it pains me also to see pictures like that. and one of the requests i made two state department into the white house also, because they called to find out what we need, was for body bags.

and i can report that i don't know how many in the thousands of thousands of body bags have been delivered to haiti so that picture of people thrown in the graves wouldn't be. from there, the casket, a little more expensive, but at least i made my plea for the people to be interred single-a. i wish they hear me. >> david post, at journey from california. ambassador, although we've not been in touch for over half a century, i have a vivid memory of your arrival from haiti as a college student. a strong, energetic athlete, a strong disciplined student, a

passion for the people of haiti and a commitment to them. the united states and haiti and the business community here are fortunate to have you in this addition at this time. my two questions, one, i see that you've studied as a social anthropologist and you've worked many years for "the wall street journal." my questions are, one, how do we know that by contributing aid to haiti in a massive way we are not contributing to a welfare culture, a culture of dependency , perpetuating what i understand from the media is a basket case, a fourth class nation. i say this supportively. and second, what can our

government do beyond dollars in aid to facilitate for investment in haiti. >> thank you, sir. if you know the haitians, you know they are one people that doesn't believe in welfare. and look up the statistics. patients who immigrate to the united states are all hard workers and you won't find too many on the welfare. you will find some, but not many. patiently to work. they want to work and they are hard-working. what happened in haiti is there is a job to be done that's the reason when i came to washington

in 2004. i came with an idea, making a slogan, haiti is open for business. with that slogan, i worked with the congress to get the hope that past. with governor thomas and ways and means from california gave me, called me in his office, and gave me hope one for three years, with quite a few restrictions. that was around june 2006. he says, you know what, democrats might win this fall. and if the democrats win, i think it would withhold hope and come to something else. because they want to show that they were the ones that did something.

i said, really? i left his office and said thank god for the cellular phone. i picked up my cellular phone and i called my friend, charlie wrangle that i knew would be chairman of the ways and means. i said charlie, chairman thomas just gives me hope for three years. he said, hope the way it is? i said, yes. he told me that if you win in november and he thinks he might win, you are going to withhold it. he said no, no, no. we wouldn't do that. we ocd much more than what he's giving you. take it. i'll bring the democratic vote. and when we came in, if we come in as he says i'll give you something better. sure enough, the democratic congress gave me hope for ten years with fewer restrictions. and with the hope, the world has begun to do that, opened factories in haiti, already 25,000 new jobs have been

created before the earthquake hit. we were looking at between 75,100,000 jobs created from hope. no, haitians don't want a handout. they want a hand up. that's all we want. and did you know that just the first day before the earthquake hit, the miami herald had a long story about the hotel boom in haiti? the day before the earthquake hit, that's the 11th of january, pbs had a major piece, about 50 minutes long on haiti and the development data presented. it's not for my beautiful eyes, i don't have them, that royal caribbean, the cruise line

teamed up with a haitian government to build a 50 billion-dollar. in northern haiti and broaden its largest cruiser for its maiden voyage on the first week of december. yes, the investors, with the help of president clinton had been looking ied. and i think after a few more weeks, we'll have more investors that will come with jobs in haiti because that's what we need. we are not bakers and haiti, we are workers. >> i think there's time for one more, one last question.

>> thank you. i'm at the school for ethics and global leadership here in washington d.c. makes sincere condolences to you and your people. it seems to me that giving your answer to the previous question, we have a real opportunity here to be envisioned the way that we redevelop developing countries. and i'm wondering if you could give a spew specifics to us about the best way to do that in haiti. thanks. >> i think the best way to do it is the way they started with haiti. all the stakeholders stick together and work on a master plan. instead of everyone coming in and planting his little slack here, i'm doing this year, i'm doing this here, without any coordination. i think haiti probably is giving the world, giving the united states a chance.

that's the silver lining, giving it in a regulated manner and also seem that everybody comes then at the right place, not everybody goes to the same place, doing the same thing. if we do it that way, in coordination in this period of the slogan that gives haiti independence, in unity there is strength, we'll get somewhere. instead of the competition to better that one. i think that might be the best way. i still don't want to fight this period of entrepreneurship when it comes to entrepreneurs, let them fight. but when it comes to development, let's not do it have possibly.

i think we need to have a coordinated plan. >> well, thank you very much, ambassador, for your time on behalf of everyone here we extend our condolences and we thank you also for your wonderful presentation and we commit to doing everything we can to help you and your country rebuild. thank you very much. >> thank you. [applause] >> now water distribution and sanitation meets in haiti. [inaudible conversations] >> we are at one of the spontaneous settlements that was created right after the earthquake. this point is also serving as a water distribution point and it's being led by unicef and its partners.

[inaudible conversations] >> we are so trying to support the government to organize. they pump water within the city. they coordinate the water and they put in the tracks to bring a tear to this tank and what is a system of distribution where people can have water, a minimum of 5 gallons per day. [inaudible conversations] >> burning trash. [inaudible conversations] >> these people are struggling with basic needs that are not so covered. of course unicef is supporting the providing of water, but that's very important and

consolidation issue because people are living together in a very small place and sanitation is one of the biggest problems for them. [inaudible conversations] >> at this camp on a golf course, they live without access to food, water, or toilets. some of started small businesses, such as hairdressing and cell phone charging. >> our estimates are about 500 talkingarger camps. about 50 people. the smallest and the largest between 15 and 20,000.

[inaudible conversations] [inaudible conversations] [speaking in native tongue] [inaudible conversations]

[speaking in native tongue] >> this is the emergency phase. we have the reconstruction phase afterwards. and so this donors meeting in this meeting in montréal on monday, the donors meeting which is not scheduled yet, but should be in march. these are important when does where we must get the funding to make sure that those ten cities don't become a reality or a part of the landscape in haiti. [inaudible conversations]

>> that of the congressional budget office, doug elmendorf, testified this morning on the 2010 budget and economic outlook tiered this meeting of the house budget committee is just under 2.5 hours. [inaudible conversations] >> thank you. i'll called the hearing to order. we meet today to consider and receive testimony from director

elmendorf of the congressional budget office on the latest update on the economy and the budget. the number and the cbo report released yesterday are daunting, to say the least. but to fully comprehend the implications of those numbers, the dire bottom line to the budget is important to remember the context from which they emerge. a year ago, the economy was in freefall. job loss was that 14,000 -- in january alone. americans retirement savings account plunged about 2 trillion between the first quarter 2008 and the first quarter of 2009. the record budget surpluses of january 2001 have been converted to record deficit as far as the eye can see. if president obama in this congress began 2009, this was the context, this is the economic and fiscal legacy in the previous administration. too many americans today still feel the pain of the recession.

we received news today from the testimony from your elmendorf that the economy we believe is out of recession, but nonetheless there is much work to be done to rebuild the economy in recovery to full capacity. cbo's report today confirmed the action we've taken over the last year have overcome back from the brand. theo's report confirms that the gdp will grow in 2010 and if the recovery act has had a positive effect. the report also confirms that the recession has taken its toll on the budget's bottom line, the folks in search underestimate economy is still for the cost of the budget to show up on the bottom line. economists agree that it is counterproductive to try to balance the budget in the midst of a deep and serious recession and rebuilding the economy provides a critical foundation for deficit reduction. nevertheless, the cyclical deaths were now facing should not and cannot persist. the short-term cyclical that is

associated with this association should not be confused with the long-term fiscal challenges we were facing even before the recession began. it is a long-term budget remains unsustainable as the economy recovers, we must increasingly focused on ensuring that the budget recovers as well. as we face our fiscal challenges, i'm encouraged by the recent progress towards the reinstatement of the statutory paygo model from the statutory paygo world which we model on the rules that helped us turned record deficits into record surpluses in the 1990's. i was pleased to see obama administration's recent announcement, its budget proposal to be sent out next tuesday will be characterized by strength and to missionary spending. the economy and initial steps are needed in yesterday's report gives us data which we can better understand the challenges serious as they are in which we face. our sole witness today is doug

elmendorf and before turning to him for his testimony, want to thank him and the entire staff at cbo for all the work that they do for a on an ongoing basis. buy us any democrats and republicans. your service is in a nonpartisan way and you do above. the congress truly could not function without you. i also like when vital members to join me in congratulating the witness on the achievement of a milestone earlier this week, his one-year anniversary as cbo error. [applause] >> thank you, mr. chairman. >> let me yield for an opening statement. >> i also want to welcome dr. elmendorf to the committee. nd that is the role of cbo directer, and you're doing that very, very well. so i just simply want to say to you, you take a lot of flak over there at cbo, there's lots of

demands of your time, i don't think i've ever seen more demand, and you're handling it very, very well. i know the people over there are working, you know, long hours. we want you all to know that we, we respect that, we appreciate it, and we think you're handlinr trillion dollar stimulus sold

with the promise that it would hold unemployment below 8%, and yet the unemployment rate continues to rise and now stands at the 25-year high of 10%. we learned that much of this stimulus which was neither targeted, timely, nor temporary, in fact, it was just a down payment on government programs. let's turn over to t.a.r.p.. t.a.r.p. was advertised as an emergency plan to heal financial markets, it has now become washington's latest slush fund. cbo's budget and economic outlook paints a cbo's budget and economic outlook spins a picture of both the year we left behind in the year we face in the time over the next decade. in 2009 congress delivered a $1.4 trillion deficit, the largest and nation's history and no doubt because of the recession made much worse. estimates for the current year also are staggering, $1.35 trillion deficit and our debt will reach over 60 percent have gdp this year. and of the current policies of

our government by 2020, cbo projects our debt will soar to 100 percent of gross domestic product and adding to that yearly interest paid to finance the surge in spending will more than tripled nominal terms from to under $7 billion in 2010 to $723 billion in 2020. more troubling than another or $1 trillion deficit is there is more to,. cbo figures don't include likely to come down the pipeline for were funding to the new health care entitlement to all the at the things that will happen and so on and so forth. i'm encouraged by the news that the administration is considering a three-year freeze on certain discretionary spending programs. we need to see the details and this needs to be enforced the statutory cap and we're going to hold the line on spending. it's time to get serious about ending washington's insatiable appetite for increase spending

an expanded government. the promise of a discretionary freeze although a step in the right direction is not enough to secure our a financial future. it as astounding as our current shortfalls are, long-term debt projections are profoundly worse. the bipartisan peterson to commission on budget reform and one in its recent report that government spending to revive the growth in health care costs and an aging population will certainly bring the debt to crisis levels during the next few decades. what is once thought as a scenario that would unfold in the distant future has compounded and become a pressing issue we must face today. we must reform our largest entitlement programs. we used to think we have 10 or so years but because of the crisis because of the spending binge we have engaged in the end because of the massive debt we are now confronted with, this problem is here now, not in tenures. we need to do this. i propose a systematic way to reform our programs called a

road map for america's future. my purpose in putting this out there is not simply to say we have it all figured out, we've got the ideas. our purpose is here's a plan to restore our fiscal future, to pay off our debts, although the mission of health and retirement security and make our economy grow so people have good jobs. the purposes and to encourage others to do the same, bring his or plans to solve our entitlement crisis. bring us your ideas to actually pay off our debt. there is a unique legacy in this country that is about to be severed and that legacy in this country is each generation takes on its challenges so that the next generation is better off. well, as cbo will tell you as every objective statistical how do we know for a fact we are consigning the next generation to an inferior standard of living, that's a fact irrefutable. i encourage you to challenge that. we've got to act now to turn this around so that we give the

next generation in this american legacy of having a better future which they will not unless we act. sorry forgetting carried away mr. chairman but this is a serious time. we appreciate the work of cbo. we need to get to work. thank you. >> i couldn't agree mark. before proceeding out like to ask unanimous consent that all members be allowed to submit an opening statement for the record. >> without objection so ordered in. >> once again, we welcome you to the hearing today. we will make your testimony part of the testimony, but you are the only witness unless you want to call some of your colleagues to answer questions you may put you are the only witness today and should take as much time necessary to thoroughly explain your testimony and in that connection i think it would be useful if you go with it.

>> thank you, mr. chairman, for your kind words about the work that we at cbo have been during that the past year. we appreciate the support you have shown for our work during this past year and many previous years. if to the two evian and all members of the committee i appreciate the invitation to talk today about cbo outlook for the budget and economy. i will speak briefly and take your questions with assistance from my colleagues behind a pair, under current law cbo projects the budget deficit this year fiscal year 2010 will be about $1.35 trillion or more than 9 percent of the country's total output. that deficit would be only slightly smaller than last year's deficit which was the largest as a share of gdp since world war ii. with expected revenues will grow modestly this year, primarily because we expect a slow pace of economic recovery.

we expect an outlay about even with last year's level as a decline in a federal aid to the financial sector is offset by increases in spending from the stimulus program and other purposes. debt held by the public will reach $8.8 trillion by the end of this fiscal year or 60% of gdp. the largest burden of debt since the early 1950's. looking beyond this fiscal year, the budget outlook is daunting. again under current law cbo projects deficit will drop to about 3% of gdp by 2013 but remain in that neighborhood and through 2020 para el by that point interest payments alone would cost more than $700 billion per year. moreover maintain the policies embodied in for a law that underlie these projections will not be easy. it would mean for example of allowing all of the tax cuts

enacted in 2001 and 2003 to expire in 2011 as scheduled and not extend the temporary changes that have kept all since of minimum tax or amt from affecting more taxpayers. but many policy makers have expressed their intention not to occur along and will the scheduled and if instead they extended all of the 2001 and 2003 tax cuts index for inflation and make no other changes to revenue or spending the deficit in 2020 would be twice the size of the deficit projection of the current law. debt held by the public would equal 87% of gdp and the rising rapidly. the baseline projections also assume the annual appropriations will rise only with inflation. if instead the policy makers increased such spending in line with gdp, which is about what actually happens during the past 20 years, the deficit in 2020 would be two-thirds as large as projected under current law.

in sum, the outlook for the federal budget is bleak. to be sure forecasts of economic and budget outlooks are highly uncertain, actual deficits could be significantly smaller than we project or significantly larger. we believe that our projection balances those risks. one set of tax is contributing to the bleak budget outlook of the financial crisis and severe recession along with the policies implemented in response. analysts find the end of a recession at the point in which output begins to expand again. by that definition the recession appears to have ended in mid 2009. however, payroll employment which has fallen by more than 7 million since the beginning of the recession has not yet begun to rise again appear, the unemployment rate as you know finish last year at 10 percent, twice the level of two years earlier. unfortunately cbo expects the pace of economic recovery will be slow and the next few years.

now household spending will be restrained and by weak income growth, lost wealth, and constraints on the ability to borrow. investment spending will be slow but the large number of vacant homes and offices. in addition, although aggressive action by the federal reserve and the fiscal stimulus package helped moderate the severity of the recession and join its duration, the support to the economy from those sources is expected to wane. employment will almost and the increase this year but it will take considerable time for everyone looking poor work to find jobs. and we project the unemployment rate will not return to his long run sustainable level of 5% until 2014. thus one of the pain of unemployment from this downturn lies ahead of us and behind us. the deep recession and protected recovering mean under current law of lower tax revenues and higher outlays for certain benefit programs.

cbo estimates those automatic stabilizers will increase the budget deficit by more than 2% of gdp in both 2010 and 2011. in addition, cbo projects that last year's fiscal stimulus package will increase the deficit by 2% of gdp this. by smaller amount next year. as the economy recovers and the effect of the automatic stabilizers and legislative policies fadeaway, the budget deficit will shrink relative to gdp. however, as i have noted the projected deficit remains large throughout the decade even under current law. and if current law is changed in some way that more closely matches current policy as most people see it, the amount of government borrowing to gdp would be unprecedented in the post-world war two. enlarge a persistent imbalance between federal spending and revenues is apparent in cbo -- cbo projections and will be exacerbated in coming decades by

the aging of the population and the rising cost of health care. that imbalance stems from policy to choices made over many years. as a result of those choices, u.s. fiscal policy is on an unsustainable path to extend that cannot be solved by minor tinkering. the country faces a fundamental disconnect, between the services that people expect the government to provide particularly in the form of benefits for older americans and the tax revenues that people are prepared to send to the government to finance the services. that fundamental disconnect will have to be addressed in some line in the nation is to avoid serious long-term damage to the economy and to the well-being of the population. the chairman asked me to specifically refer to the charts in the testimony that we submitted the and, of course, we have written an outlook of almost 200 pages i am sure your taking, and poring over in you're spare time. but we did have several turns in

the testimony that i brought today and that i think you're worth attention. if one looks at summary figure one if you have them in front of you, the picture of debt held by the public and that interest, slightly complicated picture, the amounts are expressed as shares -- excuse me, very good, thank you. the solid line is in debt held by the public, the picture ranges from 2005 up through the 2009 left of the vertical line labeled actual and then the next 11 years of our projections. debt held by the public which was running about 40% of gdp before the financial crisis and recession. it will jump from 40% at the end of fiscal year 2008 to basically 60 percent of the end of this

fiscal year 2010. so in two years we will increase the size of the debt relative to the economy by one-half. under our projection and that continues to rise further, and is roughly stable around 65% of ending 60% of gdp, and canada under current law which assumes tax cuts expire as scheduled under preparations with inflation, the bars are net interest on the dead and again expresses a share of an gdp. that net interest is quite low last year despite the large debt because interest rates are quite low. but we in essentially all analysts expect interest rates to rise considerably as the economy recovers and the combination of rising debt and interest rates will push debt payments up in nominal dollars we expect them to triple over the next 10 years as a share of gdp two roughly double.

the next pitcher we included the in my testimony today is a figure two, shows revenues and outlays of the government. this goes back 40 years into the past and then 10 years into the future with our projection. you can see that alice has bite -- alloys have spiked up clearly in the past couple of years, now at their highest -- relative to gdp projected to fall back but to remain well above their average denoted by that horizontal -- line. revenues have fallen sharply, the lowest share of gdp seen in many decades and are projected to rise again. again this is under current law which assumes the expiration of the tax cuts. under the akerlof revenues move up above another why this historical level however if all of the tax provisions that are

set to expire under current law were allowed to expire, that's 2001 and 2003 tax cuts extension of this before and also ascension of other expiring provisions, that revenues would remain below the historical average three of the tenure projection. it would be inching up close to it at the end of the 10 years. and i think it is a third pitcher which is the picture of the unemployment rate outlook. which i am not sure where that -- that picture. you can see the very sharp rise in the last several years and the decline. on this bridge to the decline it looks fairly steep, the line comes down but, of course, it is now so far above the long sustainable level that even at that pace of decline in takes a number of years to come down and you can see in that sense more of the bulk of that peak i chile lies in front of us spend behind us to the right side of that

projected line. and that is the sense in which i think the pain of unemployment going ahead is likely to be greater notwithstanding the lack that we and essentially all other analysts expect that gdp will continue to grow. thank you mr. chairman and of having to take your questions. >> a gary match. last week in preparation we had a panel of four witnesses also one of the deficit and most of whom differentiate between the short-term and cyclical dead and a long-term struggle -- structural deficit. one who was spoken with bob greenspan and he said in a fact that the short-term deficits were a necessary incumbrance, they had to be undertaken in order to respond to this cyclical downturn in the economy but the real concern was that these were necessary in provisions for the most part in the real concern of the long-term structural deficit as

opposed to the short-term cyclical mets -- measures you have taken. would you agree with that generally speaking? >> mr. chairman, cbo does not recommend the policies with the others do but i think it is a widely held view among analysts that the danger from the budget deficit arises from midst persistent large size, not particularly from having large deficit during this downturn. i said on a number of occasions that fiscal policy poses to central challenges to macro economic stability now. short run challenge a long run challenge, the short run challenge that fiscal stimulus will be withdrawn rapidly over the next two years under current law. as the stimulus package is in a fact and wanes as tax rates increase under current law as the automatic stabilizers to monition importance deficit actually falls very sharply in the next three years and that is

a withdrawal of stimulus that private demand will have to over, to move the economy ahead. the other challenge that fiscal policy challenges over the long run is the fact that fiscal stimulus doesn't ever go away, that the budget remains where much of a bounce for many years to come and i think is how one is all the attention as a matter for you and your colleagues and there is a widely held view that the principle of damage from budget deficits comes from there being a large time when the economy is at full employment and really are sprouting out investment in equipment. >> let me go back to three points i made in my opening statement and ask you to comment on policies we have taken a. a year ago at the end of the fourth quarter 2008 the economy was in deep recession i think we would all agree. in that month alone economy shrank by 5.4% beneath the previous quarter. by contrast the economy and the

third quarter 2009 and grew by 2.2%, the 7.6 percentage points out of recession in and into growth and less than a year. secondly, a year ago and of january 2009 when my job market rates loss of that 740,000 jobs and the previous quarter averaged about job loss of 600,000. also just one indication of how this was impacting the individual households, a year ago at the end of the fourth quarter our economy accounts lost 1.8 trillion, nearly 2 trillion of the previous year. retirement accounts have fallen in value from a trillion in the first quarter to 6.2 trillion in the fourth quarter, fall of 1.8 trillion in one year alone. by contrast looking over the past year 2009, retirement

savings have risen from 5.9 trillion to 7.7 trillion at the end of the fourth quarter. all of those developments turn into positive developments over the last year. went back to in this turner and surely to what extent i know it is debatable, the one factor was the recovery --, $787 billion a countercyclical effort has been shown and appears now the bottom line of the budget because the allies had to be made in previous fiscal. to some extent the current fiscal year. if you say looking at the recovery act and i'm quoting from your testimony in moderated the severity of the recession and shortened its duration. can you quantify that? can you tell us to what extent the recovery had stimulated this growth in gdp and jobs in this recovery and retirement value? >> mr. chairman, i am happy to review that.

as you now and difficult business to judge thir i took particular piece of legislation or the entire federal budget, because of that we reported a range of estimates of the facts but we do believe and have said on a number of occasions including today's testimony that as you said the stimulus package did moderate the severity and shorten the duration of the downturn. estimated it raised friel gdp by 1.3% to 3.5% summer within the 1.3 to 3.5 range for in the second half of 2009. relative to what would happen without the stimulus. i think the last estimate we provided the of implementing a tax was in a report we issued the required by law in november and and this was based on the effect of the third quarter. estimate is the third quarter was that employment was boosted between 600,000 and 1.6 million

jobs. >> so the recovery act has had a positive impact? >> that is our judgment yes mr. chairman a. >> you also one in your testimony that the recession probably ended in the middle of last year. last calendar year. but that you weren't that is likely to be a slow slog from here to full of recurring and employment. in fact, i think today you targeted for will implement 2014 is some time away. would you comment on why that is? >> i think there are several factors. one is that we expect overall economic growth to be only moderate in the next few years. in the wake of some past deep recessions, the federal reserve has cut interest rates sharply and there has been pent-up demand for housing and for other consumer durable goods and for business investments that has propelled the economy on a last

supper trajectory. given the nature of this particular downturn and something in common with some past downturns due to financial crises in our country and others is a pent-up demand is not there in the same way. we have more houses in current demand for. so we think that the economy is likely to grow more slowly and one direct effect of that is smaller increases in employment. of a second factor is that our -- hours worked for people who have jobs been on a downward trend for decades but declined fairly sharply in this recession and as we think as firms needed more labor to produce product as a man starts to rise the first thing will increase in hours for already employed rather to employ new people that will come later. a third factor is that recessions often accelerate restructuring under weeny economy that pushes companies

that are struggling to the brink, pushes companies that weren't doing well perhaps through dangerous territory and one way that our economy tends to grow is to create jobs and that people move. they moved to other parts of the country, that canada regional migration has been an important feature in the past but we think will be harder to accomplish in this recovery because of the problems in the housing sector. significant minority but significant minority of people under water and their homes owning more on the mortgages and their currently worth everything fell have more difficulty going to other locations where jobs are more available. i think that will hamper a little bit but the biggest factor is the first one which is just that wh economic growth there will be slow growth and employment and that's a pattern consistent in the past we've mentioned in the past four recessions, those with past --

fast gdp growth. >> despite the growth in in the debt, we have not had in which you would normally expect in the way of an increase in debt service, not yet because of the low rate of interest that the national debt appears today but as that rate rises with the resurgence of the economy, it will go up and you've got a friday never wrinkling your testimony, namely today we're spending 207 -- we spent $207 billion of debt service, by 2020 that will be $723 billion. that is an entitlement and we tend to think about social security and medicare and medicaid as being the entitlements of great concern to us. the national debt is obligatory and has to be a case, it's an entitlement in a strong sense of the word. our witnesses last we suggested we need targets, we don't need

to do ad hoc thing is a lease for the intermediate and long run but we need targets to shoot at and they were suggesting we should try to bring the deficit down 23% of gdp and. the data or and least told it to no more than 60% of gdp. are those reasonable goals? to do you think there are too high or too tight or too strict? >> so i can mr. chairman it's not our place at cbo to suggest what your goal should be. economists don't have a analytic basis for saying this is the crucial point. in terms of debt or deficits. it is true that as we push in this country to 60% of its gdp this. beyond that over the next few years removing into territory that most developed countries stay out of it. we are moving into territory that is unusual in our historical experience and the experience of other countries

that we think of with solid economic situations. that raises the risk every step we go. but what the precise point you should stop bad is not something that has analytic basis for answering. it's true the numbers suggest have been discussed fairly widely. i think one thing to know is our baseline projection is for deficits about 32% of gdp. in the interest payments as you point to are assuming we have deficits 3% of gdp, not in the next couple years but beyond that for the rest of 10 years. >> but your baseline is not the worst case scenario by any means. >> no, and the challenge as i said in my opening remarks that many members have discussed making changes that would increase deficits relative to our baseline and in particular extending the tax provisions and indexing the minimum tax so in some ways relative to what many people i think believe it would

think of as current policy, paul is some place and the tax rates we have now, the deficit would be much larger than our official baseline and to get the 3% from there would require a good deal of policy change. >> we think every much for your testimony in the good weeks -- the good work cbo does for us continually. continually. >> thank you mr. continually. >> thank you mr. the images from haiti are heart-breaking-- homes, hospitals, and schools destroyed; families searching for loved ones; parents trying to feed their children. but we can all do something. we can help the american red cross as it delivers the food, water, and medicine that can save lives. donate $10 by texting "haiti" to 9-0-9-9-9. visit redcross.org or call 1-800-red-cross. thanks for your help.

big story tonight, gilbert arenas has been suspended without pay for the rest of the season by nba commissioner david stern. javaris crittenton is also finished for the '09 2010 campaign. the league hands down it's ruling less than two weeks after arenas plead guilty to a felony gun possession charge and crittenton pled guilty to a misdemeanor. miss miller spoke with gilbert arenas after the decision came

down, and this is what gilbert >> earlier tonight, the wizards president spoke about these developments. >> brings a little bit of closure to a situation that has been very frustrating, very distracting and bothersome to our organization, to our coaches, to our players, most importantly to our fans who have really stuck by us, we wanted to thank them, and now it's time for us to move forward. and we have to move forward, have to regroup. i'm sorry our players have been distracted, instead of coming out and competing on a nightly basis. this organization takes this issue very, very seriously.

we changed the name of this team for this very, very reason. >> how much will the court decision affect your decision- making process. i know you said time will tell with gilbert and his contract. how much will that play into what you guys decide as far as voiding his contract or not. >> well, we're still exploring or options. we haven't made any decisions up to this point. we're seeing what we can do, and i think it's going to be a combination of many things to see which direction we go in, but so far we haven't made any kind of decisions, but we are exploring all of our options. >> that, wizards pet ernie gun field talk -- wizards president ernie grunfield speaking with us tonight. the washington capitals have ran their win streak to 7

games, a franchise best since the e'88, 89 season. off to the verizon cent we are go, which is where we find our lisa hillary tonight. lisa, not only have the caps been scoring goals at a league- leading case, they've got some pretty solid goal tending to go along with it, but what's the latest on jose theodore's injury. >> reporter: there always seems to be drama around this hockey team. all the buzz at practice this morning was about theodore. bruce boudreau only saying he was day to day. we asked him is it an upper body injury or lower body injury? he stayed right away from it, just said day to day. we did see brandon hullcy who was called up from the hershey

bears. he has an impressive record with the bears this season, but as bruce boudreau told us this morning he will be cheering from the bench backing up michael norvert tonight. you know, just even looking forward to sitting on the bench, it's still with the goal tending. varlamov did skate today for the fest time in over a week. he took some shots, as well, which was nice to see, and he seemed to be moving around quite well, so all signs point to him making a turn at some point, but i would not expect simeon varlamov to be dressing

for russia at the upcoming olympics. let's bring in allen may. i watch to talk about alex semin. what a run this kid has been on. 19 points in the last 11 games. what do you attribute that to? is it the juggling of the lines that bruce has done? >> i think he has finally found some great chemistry with someone other than ovechkin and backstrom, and i think now that he has his contract under control, he doesn't have to worry. he knows where he's at, and i think that's an important thing. >> there are a few people who are saying as well, he's put up his stats since his best friend has been given this the c. >> i don't think there's any pressure there. i think he just got on a roll and the team said it doesn't matter what anyone thinks, the coach is is establishing the lines. they've. playing very well with each other, all the four lines. >> these are two team toes that

don't see each other very often. in fact, the last time they faced each other was in anaheim. a 6-4 washington capital win, and alex ovechkin picked up four points that night. how do you scout a team like this in are they looking at the video from last year, or the video where they faced the ducks in atlanta? >> well, you have to use the most recent games. and last night in atlanta would be a perfect precursor of what to watch out for, and they're completely different. chris pronger is gone. they have a whole new out this year, and they've had some see you areys, so right now they're a one-line team, and they have to worry about shutting that one line down. >> all right, allen. we look forward to your post- game stuff with al. >> all right, thank you. >> they have not won nine straight since way back in the '88-e9 season. of course they're hoping to do that tonight. >> all right, lisa and al, look forward to seeing you guys

after the game. the game itself, the main event, coming up at the top of the hour right here on comcast sportsnet. it's the ducks and the caps in high-definition. andal license be joined by al coken with lisa hillary contributing mightily as

se, we you look at teams to see how their seniors play defense. >> vasquez finished just one shy of a double double, but his 16 points able to to move him into 8th place on the marriy land all time scoring list. the senior from venezuela has tallied 1863 points in a terps uniform. he is well aware of the significance of those feats. >> you know, i'm happy about that, and i'm always thankful, because maryland got me here, and they opened the door for me, and that means a lot to me and my family and everybody pack home. so that's just a blessing. >> in gravis can bump it up to 22 per game, he'll catch and pass len bias for second time

all time on the maryland scoring list. coming up next on geico sportsnite. we'll review how we got here with the gilbert arenas drama, from the heady days of agent zero putting up 60 on the lakers in l.a. to today's suspension for the rest of the current season. it is a wizards career in review. that is on the other side of this break. and are better days made for the redskins defense? sure to have a test look next season. we'll hear from jim hassle it when we get back on geico is ioing ny fson. d ent m, dre youults are ally at ri for 1n1 rus et's togethe and the getour ccin you'tectelf lp p e spf th flu vs ar e tst tiv evenflu.

getactsu.go together, we can all fight the flu. anncr vo: ...you can get help gwith a flat tire.... anncr vo: ...find a nearby tow truck or gas station... anncr vo: ...call emergency services... anncr vo: ...collect accident information. anncr vo: or just watch some fun videos. anncr vo: or just watch some fun videos. anncr vo: or just watch some fun videos. anncr vo: or just watch some fun videos.

welcome back. look all we know right now is

that the gigahertz -- that gigahertz arenas is -- that gilbert arenas is done for the season. his time here playing in washington d.c. will not soon be forgotten for good times and also the bad. agent zero, this gilbert arenas era all together is certain something to behold. here is chris miller. >> march 23rd 2003 at golden state, washington wizards fans got a glimpse of the future without knowing it. >> arenas wide open and bury this three. and we have a hired coach ted abou

dn't look back on it. >> reporter: from the out set, you could tell gil had something to prove. >> this year is going to be very exciting. we're going to make the playoffs. >> reporter: the playoffs are out of the realm of possibility in gil's first season in dc. >> two seconds, one, fires for the win. got it at the buzzer! and the wizards escape philadelphia with a dramatic victory! >> reporter: that moment was a sign of things to come. the following season, gil became an all star and led the wizards to the post-season for the first time since 1997. and in chicago, he traded in

his all-star status to become a superstar. >> gilbert, fade away! dagger! arenas hists the shot at the buzzer! >> can you believe that? >> reporter: overnight gilbert arenas became larger than life in d.c. off the court, his charitable endeavors raised money for schools in the d.c. area, muss he threw one of the most lavish parties in the district for his 25th birthday, and on the court, he turned into agent zero, and his counselless buzzer beaters and came winners earned him two more all star nods, while the wizards found themselves in the playoffs. >> i get buckets. quality shots. you practice it, it's a quality, we. >> he is amazing! >> my swag was phenomenal! >> reporter: in february of 2007, friction between he and

eddie jordan began to surface. >> when you go into a game, it's like, all right, sets down, we have to focus on defense, make sure we don't get beat back door. that's what you folkious on. >> my reaction to that? that i emphasize defense? no reaction. next question. ever after missing shoot the 4th of 2007, jordan benched arenas against the charlotte bobcats, only to be subbed in. >> what a shot, and he banged in gilbert arenas, and arenas is down and holding his knee. >> reporter: arenas suffered a lateral meniscus tear in his left knee that side islined him for the better part of two seasons. he was still able to sign a $111 million deal with the wizards in 2008. >> i know everyone is here to see me, but it's this team. >> unfortunately, he's had some

health problems, but that is over. >> reporter: that season eddie jordan was fired, and gilbert was forced to sit and watch one of the worst teams in franchise history while still rehabbing his knee. >> i told them as long as i'm healthy, this won't happen again. >> reporter: he ws ormed thesum 200as saunderswas calln to tow. ert worked out with a renowned trainer to be sure he would be ready for what was supposed to a breakout season for the wizards. >> arenas putting itself up and in! >> what a move! >> arenas is back! >> reporter: the wizards were still under achieving. >> for the most part, we all get along. about 15 players on the team.

14 get along. >> seemed leak everybody was on. the -- seemed like everybody was on the same page in training camp. >> real stats don't happen in preseason and training camp. >> gilbert arenas is under investigation by the nba for posting a firearm. >> there's a perception here that someone pulled a gun on someone. >> i can't speak on that. >> if i really did something wrong, itself would bother me, you know, i would feel remorse in what i did. i but i did do not anything. i'm a goof ball, and i'm gonna make fun of it. that's how i am. people are saying why am i not

taking it seriously, but -- >> i know he didn't mean it. >> gilbert arenas was charged today with felony gun possession after bringing unlicensed handguns in the verizon center. >> reporter: with this black cloud hanging of the organizations head, the gilbert's have removed gilbert's larger than life persona from the team. >> that's chris miller. back to football. the bulk of the redskins coaching staff is in mobile, alabama, for senior pole preparations this week. up until now, we've yet to hear from new defensive coordinator jim haslet. right now, week give you can sneak peek of what will be on later tonight on redskins nation. >> we're talking to the players. i think there's her it to merit to both. but obviously it's not going to be a clean change when you

change from 3-4 to 4-3, but we feel like we can too either one with the players we have. you look at london fletcher, who i think is a great football player, the corners, laron landry who i watched play in high school when i was down in louisiana. brian orakpo is a helluva player. so there is a group of guys i'm looking forward to being around and coaching and win some games in our division. >> get the full conversation at 10:30 tonight on redskins nature. according to sources, kurt warner, cardinals quarterback will announce his plans on friday. there seems to be a consensus that he will announce his retirement at that time. still to come on geico sportsnite. the caps getting ready to take any the ducks. alex ander semin has been sizzling of late. who else will step up?

winning games lately hasn't been a surprise, russ, but a goal last night from johner skin was a welcome surprise. >> actually a goal and assist pretty impressive for number 4 for the caps. everybody chipped in against the new york -- landers are.

great play low allowing morrison to get the nice tip in, and then he scored one himself. it was 109 games since he scored a goal, and there he gets one of seven in his career, a great night for number four. >> mike green is in the best when it comes to points from defenders. >> the rest of the team has a combined 60 points total, three guys other than green with 10 or more points. >> living life in the western conference, the anaheim dicks done visit here very often. it's the fest time they've been here since december of '06, but the caps get a dose of western flavor tonight. >> and the ducks are a couple of games below 500, but you look at the western conference and their success, 7-4-1, only buffalo a better record, allowing about one fewer goals per game, and the goalies have a sound save percentage. >> and the ducks bring three

terrific forwards with them. >> corier perry leads in points. 56 goals and 142 points combined for the three. that's over 37% of the anaheim offense. the caps have to shut that trio down. >> anaheim hasn't been great on the road, russ. washington has been more than great at home. we shall see. >> fun doesn't enwhen the game is over, no, no, first of all, we've got post-game live with al and allen, and if you get on- line late, late, late tonight, early tomorrow morning. joe b will be blogging about what he saw from the booth, and joe wants to know what you think about the caps after each and every game. so guest it at csnwashington.com. the key word is blog. all right. caps warming up. there is green light 52 mick green getting ready to go at it for the red, white, and blue, takeling on the ducks in mere

moments. stick around we're wrapping this suc expectant moms are especially encouraged

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at spea. the big story tonight of course gilbert arenas and crittenton suspended for the rest of the season by david stern. today gilbert arenas talking to chris miller right after the decision was handed down suggesting that it was his suggestion to david stern that actually led to all of this.

all right. thanks so much for being with us for the last hour here on geico sportsnite. for the very latest from around our area on gilbert arenas and the sports are world, just check on csnwashington.com. time now to head to the verizon center. capitals taking on the anaheim ducks. the opening face-off is coming your way next on comcast sportsnet. there is captain oh i have, the great 8, and the caps taking on it't cth pper knowold mus. you!of te! exc... what grndwithan ♪ yout habe so nice ♪

tonight, the a-10. charlotte's cardiac kids are back at it. winners of three straight including two buzzer beaters, the charlotte 49ers take on the number 15 ranked temple owls. at stake? first place in the atlantic 10. it's termal and charlotte, and it's coming up next.

welcome to haltman arena on the campus of the university of north carolina charlotte. tonight, it is the number 15 ranked temple owls and the charlotte 49ers. a look now at the a-10 standingless. temp until first place. 5-0 on the season. charlotte a within tonight, and they would have a share of first place in the a-10. hello, everyone, and welcome inside. i'm matt rosen, joined by former xavier musketeer and long time anna list steve wolf. and steve let's talk about the temple owls, always a well coached team. all the new coach has done has led them to two ncaa tournament berths. >> well, he has done a great job here. >> he has a couple of horses in the back court.

a couple of guards. ryan brooks and juan fernandez lead the way. >> brooks really guests open for fernandez. he's a kind of guy that can knock down the open jump shots. he is the leader scorer on this team, and then the loader of this team, but then you know also have juan fernandez. he creates and makes everybody better on this team. >> meanwhile, charlotte is 4-1 in atlantic 10 play. they've won three straight games, and a couple of those wins have been in buzzer- beating fashion. >> well, and it's because they're playing good defense, matt. they play excellent defense throughout the course of the game, keeping them in the game so they can win at the last second. now they have 14 wins this year.

>> so the stage is set. temple hoping for their first question to stay atop the standings. the 49ers, it's a share of first place with a win. line-ups and opening tip is

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. >> matt: temple four of eight thus far shooting. now 4 of 9 from the field. dijuan harris kick it out.

out of bounds off of spears, it will be temple ball. >> steve: charlotte gets that ball out quickly. temple has to get back and defend. charlotte has to move that ball more in transition. green just pulling up for the long jump shot. probably not the best shot. >> matt: williams enters the game for temple. >> matt: swinging around nicely. brooks gonna launch the three. no good. rebound spears. >> steve: first shot on that side. made two threes on the other side. might want to move over to the other side and knock that down. >> matt: >> give it to the freshman,

braswell, who was fouled before the shot. that foul on williams. his first. k.j. sherrill and phil jones check into the game for charlotte. >> steve: sherrill really had a solid game against richmond. >> matt: jones can't get it to fall. it will be out of bounds, temple ball.

he can create. now brooks, inside allen and can't get it to go, but the foul on charlotte. >> steve: temple always has great ball movement. alp's first of two is good.

his resets. 15 on the shot clock. floats one. trying to get it to wilderness, but out of bounds. turnover for charlotte. >> steve: it was a great idea. a nice pass, an easy two. >> matt: wilderness the second turnover of the game. >> matt: allen gives it to brooks, trying to drive, kicks out fernandez. williams for three.

no good, rebound. a great job by guzman. back out for brooks, the three. money. and temple back to their biggest lead of the night. 15-8. >> steve: jones was on brooks. a mismatch. brooks able to knock down another jump shot. >> green has it taken away. >> steve: right in the chops. this is a kid who came here as a walk on and said i'm gonna make this team, and he has

become a leader. the coach thinks very highly of harris. >> matt: dijuan harrison 5th in the nation last year in assists. does a great job of controlling the ball. >> steve: he played a lot of minutes last year, and went to usc, and said there was only one point guard. dewhurst got hurt. a lot of calamity last year. >> knew the fade away, got it. >> steve: had a lot of trouble with injuries last year, and had that guy sitting on the bench, spears. he had to be licking his chops knowing that spears was going to be eligible this year to play. >> matt: spears a transfer from boston college now with four points. the miss by brooks. the three. no good. anderson fresh into the game,

gets the rebound, puts it back in! now a three-point temple lead. these fans here in charlotten't sat down since the game started. >> matt: working outside, and that shot is good. moore's first bucket of the game. spears on the glass, won't go.

here off the basket to the glass for two. >> charlotte as a team shoots around 17%. make it 5 of 18 for the field. brooks, left hand, and they can hit.

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. >> matt: here is brooks. now 3 of 6 from three-point land. he has been lights out tonight. >> steve: the one reason charlotte has been playing so well lately is because they've been defending. right now on the perimeter, they are not doing a good job, and temple is shooting 40% from beyond thear rc. >> matt: the block on harris. they're going to call it a goal tend.

>> matt: temple on top by 10, their biggest lead of the night.

offensive foul called on temple. >> steve: they're going to get them for an illegal screen. no kicks it out, scootie randall again for three! he's 2 for 2, and 2 for 2 from

three-point land. he has six points. allen hasn't had a lot of touches, but hasn't really needed them. >> matt: wild shot by derrio green missed the mark. and temple brings it back the other way. 4:10 remaining, opening half. temple on top 28-18. >> matt: the move on the perimeter, because they're shooting the ball so well, that inside game is going to be open. >> matt: he's just working

around so well, guzman couldn't hit the long-range 3. charlotte shooting just 28% of 7 of 25 shooting. that's not going to get it done against this temple team. >> steve: watch as charlotte tries to dribble in the lane. always someone there to help out, but a great move there by spears. being elusive. slips in there and gets an easy two. >> matt: percent -- spears now with 6. again, good ball movement by temple. they just move it around so fast. look at that movement. the three-pointer won't go.

derrio, and it's taken by charlotte. green fouled. javarris spears has been the go too guy for the 49ers. he has six points in the fame, shooting 3 of 7 from the field. he just got

8 . >> matt: welcome back to charlotte. steve, really, the story of this fame has been the three-

point shooting of temple. they've been terrific. 6 of 14 from long range. >> steve: well, i think it really bodes well for temple, because lavoy has only had a couple of touches, and he has 8 points. >> matt: charlotte is playing zone. they're not recovering well, and the reason is because temple is moving the ball so quickly. they'll move itself around the perimeter, get the ball in the middle, and then back outside. so in charlotte comes out a little deeper, you know, allen is going to have a field day

under the basket. >> matt: randall a very, very key player off the bench for this temple team. hit a huge three to against seton hall late in the game, helped secure the victory. green now has 11 points in the game. >> steve: looking for charlotte now to get a stop. >> matt: brooks thought about the three. pulls it down. they'll work it inside. that won't go. rebound harris, and they swing it out. brooks for three! and it will be charlotte ball. coming up at halftime, we'll

take a look at 6'10" freshman eric murray and the path that led him to la salle, we'll sit down with temple coach duffy, and look at the first half highlights. all of that and more coming up at the half. they'll work it inside, and jones with the shot. he'll foe go to the line. >> big height advantage for phil jones playing against randall.

looking at this game right now, temple has been very fortunate their outside jump shot is going for them. i don't think they've played very well offensively or defensively, especially on the perimeter. charlotte on a 6-0 run. they trailed by 10 just moments ago. randall, this time he can't get it to fall, and the rebound by charlotte will cut the lead even more. nice move, but can't finish. harris, the foul called, and

spears will go to the line. the foul, and that goes against williams. his second.

>> steve: probably the best athlete on this team, just really relentless. 18 of 25. 72% shooting, and that foul is moore going hard to the basket. >> steve: well, moore was a rover on the back side on the offense on the missed shot. he was able to sustain underneath them basket. they always say long shots yield long rebounds, and that's exactly what happened.

>> moore misses the first. and the 8-0 run by charlotte comes to an end. good move inside. jones kicks it back out to green. taking his time, green pulls up with the jumper, good. green with 13 points.

three-pointer, that we haven't go. charlotte a chance to take the lead before the end of the half. shot clock is off. charlotte is on a 10-1 run. >> steve: temple is all perimeter on offense right now, shooting to many threes. fernandez on the bench with two fouls, and they're going to call an offense on phil jones moving. the old pick and roll. he moves too quickly, and that's a big break for temple. you have to stay still. he was moving. good call by the official. >> matt: and now a 30-second time-out taken by temple with 6.1 remaining here in the first half. >> steve: i think temple really has fallen in love with that outside jump shot. fernandez has not scored in

this game. he has zero points, but they have not been able to get the ball inside. they've been relying on the outside jump shot, and that's an area i guarantee the second half you're going to see a lot more touches for eric and allen and williams in the paint. >> matt: brooks lead this way for temple with 12 points. derrio green the leading scorer for both teams. he has 13. there's a look at juan fernandez. what is charlotte doing well tonight, or what is temple not doing? why can't they get him the ball and get him some open looks? >> well, he has two fouls. that's one thing, they got him out of the game quick. but they're really covering up the inside. so they're looking at statistics and saying that, you know, temple hist or effectually, you know, they -- historically, they shoot 27% from the free throw line. let them shoot the shot and

take our chances. and the statistics are bearing out. at one point they were 6 of 14, now they're 6 for 18. >> matt: harris is called for the foul. they had one to give. so 5.9 seconds on the clock. 8.1 remaining. guzman to inbounds. gets it in. guzman for 3. good! a big shot by guzman as the buzzer sounds. give temple a 32-28 lead at half. spears leading the way for charlotte. 32-28 at the half. we'll be right back with more

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p > webackcharl north arole of bobcathe fl panthers, and the a-10 charlotte 49ers. at the half, it's temple 32 and charlotte 28. after a difficult childhood where truancy was the norm, eric murray found that basketball gave him focus on and off the court. now a freshman at la salle, he talks about his hopes for college and beyond. >> in the city of brotherly love, the journey to find ones self can be lonely, it can be a struggle. it can take you down a road you never envisioned. >> not everyone in life has it easy, and you drive through a place like philadelphia and you see a lot of people who have it

tough, so a lot of people in our society have a lot to overcome, and eric is one of those that's on track to do it. >> reporter: five years ago, it could never have been appreciated that erric murry would be a top key recruit, let alone a college student. the 8th grade, he missed 150 days of school, choosing the streets over the classroom. >> the whole time i thought he was going to eventually, eric landed before a judge for

truancy. his mother, in a final attempt to save her son, agreed to send him to a residential school for delinquents for at least a year. >> he was just upset with me, and he said, like, basically like i can't believe you're doing this to me, and all i could say was i'm what i'm doing for you is for the best, and he cried, i cried, ask so the safety and structure of glen mills, aaric decided to give basketball a try. all of a sudden, he had a reason to succeed in and out of

the classroom. >> walking around campus and people telling you i've seen you in the paper, i've seen you on tv, i've seen you -- it's just like all positive attention that i liked, and i enjoyed and so i, like, continued to work hard providing him the option to play elsewhere. despite local schools clammerring for his services,

he voluntarily stayed at glen mills to finish out his college career. >> what they did for me that year, it's like i can't leave. i've got to finish. another year and a half is worth what they did for me. i owed them that. >> his rapid development impressed pitt, west virginia, and temple, but he felt most comfortable at la salle where the class sizes are small, and he can stay under his mother's watchful eye. >> every time i felt like just running away from it, and whenever i couldn't deal with it, she was telling me like how if i just, you know, do what i've got to do and work hard, how the future would be. >> like in the long run, you hurt in the beginning, but it definitely pays off in the end, because you get so much back, you know. where i felt like i was losing my kid to the streets. glen miller gave him back. when he came back, he was aaric

again. >> what a great story, one of the most highly sought after freshmen in the country. he's overcome so much in this lifetime. 32-28, temple on top. when we come back, we visit with temple